PPP loans now available until the end of May
For buy-here, pay-here operators and other independent dealerships that haven’t gotten or used federal resources to aid their businesses, they now have more time to complete applications and secure funding.
Earlier this week, President Joe Biden signed the PPP Extension Act of 2021, extending the Paycheck Protection Program an additional two months to May 31.
“We’re pushing lenders to raise their game and provide more help to many small businesses. As you know, particularly Hispanic, as well as African American small businesses are just out of business because they got bypassed the first time around,” Biden said at the White House when signing the act on Tuesday.
“Today, I’m proud to sign the extension … of the Paycheck Protection Program. It is a bipartisan accomplishment,” he continued.
“Nearly 90,000 business owners are still in line, and there’s money left,” the president went on to say. “Without somebody signing this bill today, there are hundreds of thousands of people who could lose their jobs, and small and family businesses that might close forever. And, as you know, small business is the backbone of our economy, representing almost 50% of all the employees in America.
And for operators who have applied and are still waiting for a decision, the new law also gives the U.S. Small Business Administration an additional 30-day period to process applications that are still pending.
“Today, President Biden sent another strong message to America’s more than 30 million small business owners negatively impacted by the pandemic: help is here. By signing the PPP Extension Act of 2021 and the American Rescue Plan Act into law, the president is providing additional critical relief to the smallest of the small businesses — the mom-and-pop shops that line our Main Streets and keep our local and regional economies going,” said Isabella Casillas Guzman, who is the head of the SBA.
“More than 8.2 million PPP loans have provided struggling small businesses with the relief they need to keep workers employed and make ends meets during this pandemic. The SBA remains dedicated to reaching the heart and soul of the nation’s urban, rural and low-income communities — the smallest businesses — and removing barriers to access this vital relief,” Casillas Guzman went on to say.
Consumer Bankers Association president and chief executive officer Richard Hunt shared his perspective on what the new development means for his organization’s members who also are trying to help small businesses like dealerships.
“The banking industry has moved heaven and earth to remain a source of strength for small businesses and welcomes the extended timeline to assist even more of the hardest-hit businesses through this program,” Hunt said in a statement.